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Commission Delays Dissolution of Highlands Road MSBU, Directs Assessment Be Set to $0 for Now
Summary
The board declined to adopt an ordinance dissolving the Highlands Municipal Service Benefit Unit (MSBU) and instead directed staff to set the assessment temporarily to $0 and revisit the MSBU during the summer budget/MSBU process to avoid potential double taxation and retain the funding option for road repairs.
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Pasco County commissioners voted not to adopt an ordinance that would dissolve the Highlands Municipal Service Benefit Unit (MSBU) and, instead, directed staff to set the unit’s assessment at $0 for the upcoming year. The MSBU covers Highlands roadways and had been proposed for dissolution in Item P‑46.
Jerry Williams of Public Infrastructure, Fiscal and Business Administration presented background showing Highlands consists of seven units, 36.5 road miles and 742 equivalent residential units (ERUs). Staff noted the Highlands roadways are now maintained under the Road Rehabilitation Services MSTU adopted by the board in Ordinance 24‑31 (June 18, 2024) and recommended next steps.
Several commissioners expressed concern that permanently dissolving the MSBU now could remove a funding mechanism needed for roads in poorer condition and could create a risk of double taxation if funding is later required by another mechanism. Commissioner Yeager and others preferred maintaining the MSBU on the books and setting the assessment to $0 this year — allowing the county flexibility to fund repairs later without removing the assessment authority.
Outcome: the board voted to deny adoption of the dissolution ordinance and to advertise that the assessment would be set to $0 during the summer millage/MSBU process; the motion carried on roll call. Staff indicated the matter can be revisited next budget cycle and that keeping the MSBU on the books preserves a possible funding vehicle for road repairs in Highlands.
Why it matters: the action preserves a local funding mechanism (an MSBU) that can be used to assess property owners for roadway maintenance if needed while avoiding an immediate tax increase for residents by setting the assessment to zero for the coming cycle.

